Ok thanks, went there and the automatically manage paging file size for all drives is checked, then in the box below there is C: [ACER] system managed
then below it has [ACER] D: None
then on the bottom it says
Total paging file size for all drives
minimum allowed 16mb
recommended 4599mb
currently allocated 3066mb

I guess that should be ok. 3GB of virtual memory should be ok, as it isn't best to use a lot of it anyway. Back to the original problem with CS5 complaining about lack of ram, I guess overall system ram shouldn't be a problem. Isn't there a setting somewhere in PS on how much ram it is allowed to use? I guess that would be the next stop but I haven't looked where that is yet myself.

It's 32 bit, and when you download CS5 from adobe it doesn't ask you if you have 32 or 64 bit, I guess it figures it out itself.
now on the scratch disk I don't know what you mean by that is it the C: DISK?